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Question 17 3 pts Bigby Riggs sells high-end art frames that are ordered every Thursday to prepare for next week's demand. The most popular frame
Question 17 3 pts Bigby Riggs sells high-end art frames that are ordered every Thursday to prepare for next week's demand. The most popular frame style is sold at $50 per unit and it costs Bigby $35 per piece. If too many art frames are ordered, Bigby incurs an inventory carrying cost of $2 per frame. If Bigby runs out of stock for the week, he forgoes the profits from missed sales. Bigby has the option to order 100, 150, or 200 art frames to meet next week's demand which can be either 100, 150, or 200 tires. Based on historical demand, Bigby has determined the following probability information: P(100) - 0,4, P(150) - 0.3, P(200) - 0.3 What alternative should be chosen using the minimax regret criterion? Order 200 art frames Order 100 art frames Order 150 art frames Question 18 1 pts
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